CVS Health Case Study

CVS Health Case Study

Most medical students desperately look for CVS health case study solutions during their years at medical school. These case studies help students understand how a health company operates in the real world. They get better clarity on the strengths and weaknesses of a company and how they should capitalise on their opportunities while avoiding sticky situations.

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Introduction

Before we offer you the CVS health case study solutions, here is a brief introduction to the CVS health company.

CVS or Consumer Value Stores was founded by three Americans, Stanley Goldstein, Sidney Goldstein and Ralph Hoagland, in 1963. It started as a health and beauty aid company, and within years, it created a chain of stores and pharmacies. Later they joined Melville Corporation, a leader in managing retail businesses to grow their own operations. After a long association with Melville for over two decades, CVS decided to become a standalone company and got listed on NYSE.

Some of their notable achievements are acquiring the insurance company Aetna in a mammoth $69 billion deal. They also acquired Stadtlander pharmacy from Bergen Brunswig Corporation, which made CVS ProCare the biggest specialty pharmacy in the USA in the year 2000. They also featured in the top 5 Health companies of Fortune 500 and ranked 7^th on the Fortune Global 500 list.

In the last decade, however, they have closed down over 900 stores and stopped selling tobacco products. It also decided to rename CVS Health from CVS ProCare to highlight its broader approach toward health care commitment.

CVS PESTLE Analysis

The PESTLE Analysis for CVS Health shows us the various challenges CVS faced with political, environmental, social, economic, legal and environmental factors. Get a detailed PESTLE analysis of CVS by buying CVS health case study solutions from MyAssignmenthelp.com.

• Political Factors
• Advocating public policies for improved customer outcomes
• Political implications because of the opioid epidemic
• Economical Factors
• Abolishment of Affordable Care Act
• Downsizing of Corporate Tax slabs

Both these reforms forced CVS to change its market dynamics.

• Social Factors
• The average Americans are aged and spend more on healthcare
• Increasing demand for high-end skin care products in emerging market
• Technological Factors
• Buying a strong health insurance brand like Aetna boosted its consumer health care technology platform.
• Legal Factors
• Lack of certainty is consolidating deals because of antitrust regulations
• Environmental Factors
• The increased focus on environmental strategies because of global environmental movements and compliance measures.

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CVS SWOT Analysis

Our CVS health case study solutions also provide you with an in-depth report about the strengths, weaknesses, opportunities and threats a big health company like CVS has faced over the years.

• Strength
• It is the largest drug retailer in the USA in the year 2000
• One of the leading pharmacy benefits companies through Caremark pharmacy services
• Always maintained a consistent financial position in front of its shareholders
• Consistently strong performer
• Offers a broad spectrum of health and wellness with great accessibility
• ExtraCare loyalty program to promote OTC growth
• Brand image building by announcing an end to its tobacco product sales
• Weakness
• No significant presence outside of the USA
• Getting hit by several lawsuits and controversies over refill practices damages the brand image and loss in profit.
• Opportunities
• The acquisition of Aetna facilitates its entry into a new segment of managed care and insurance
• Increased demand for anti-aging drugs
• Growth through collaborations and acquisitions
• Increased prescriptive needs for the aging populations
• Battling the Opiate crisis
• Threats
• Increased conventional and unconventional competition globally in the retail drugs market
• Unfriendly government regulations and interventions
• Increased competition from mail order pharmacy

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